Consumers' responses to opposing copyright enforcement regimes: When cognitive appraisal leads to compliance vs reactance.

Academic studies reveal that copyright enforcement regimes are not reaching their full potential in lowering digital piracy rates. Still, very few demand-side studies tap into the reasons why this occurs. We conducted a scenario-based experiment on a sample of 401 consumers engaged in content streaming. We draw on cognitive appraisal theory to reveal that digital piracy beliefs shape consumers' emotional reactions (positive emotions vs. indignation) differently in opposing copyright enforcement regimes. Through reactance theory, we unfold consumers' coping mechanisms through which they comply with or show reactance to the designated regime (measured by intention to use illegal or legal streaming services). Our findings show that positive digital piracy beliefs drive positive emotions in loose and indignation in tight copyright enforcement regime. In terms of coping, we reveal that compliance to the regime is driven by positive while negative emotions drive reactance. Our study provides valuable insights by revealing antecedents that have not been previously addressed in digital piracy literature. Findings provide value to policymakers and managerial practice to better understand digital piracy's realities and redesign their policies and strategies accordingly. • We use a demand-side approach to reveal why copyright enforcement regimes fail. • This paper uses cognitive appraisal and reactance theories. • Two opposing copyright enforcement regimes (loose and tight) are designed. • (Mis)alignment between beliefs and regime triggers positive emotions (indignation). • Positive emotions (indignation) lead to compliance (reactance). [ABSTRACT FROM AUTHOR]